Here is why CPEC never reached its full potential

[nahtanbob]

In those days highways, railroads, and trucks did not exist

Like it was stated multiple times on this forum. The utility is CPEC is that it is the initial seed funding to kickstart growth and investment which was lagging in many sectors of the economy. In some ways it has worked. In many others way we will not know until 2030.

Much will depend if Pakistan is able to leverage the development. So far with the initial energy projects the results are there. Exports have increased. Energy production is at an all time high. Energy costs are up but right now there is significant global inflation.

Can this be leveraged to incentive China manufactering and eventually even other countries? of course.

I have no complaints here except the cost of the projects

 

[GeraltofRivia]

If you have good knowledge of Chinese point of view of CPEC, would you care to answer a question?

In the early days of CPEC & BRI projects there was talk of revival of Silk-Route from within China. Most of World literally understood that infrastructure being built under BRI & CPEC would be used to transport goods from and raw material to China (just like silk-route). There was also intentions expressed from China to connect western China to Pakistan. Since such connectivity & transport of goods via land route has not taken place, most of critics (Indian, western etc) are labeling CPEC a failure.

So what is Chinese point of view regarding BRI/CPEC acting as new Silk-route and connecting western China to Pakistan & beyond.

I'd like to say that the common interpretation that transport infrastructure built under the banner of BRI\CEPC is only to move goods and raw material in and out of China is oversimplified due to lack of comprehension of such a grand strategic initiative. Most of the infrastructure built in the host countries is to support the domestic economic growth as opposed to serve as a transit facility that only benefit China. The objective of BRI is a lot more than the notion of silk road that is just a trade route, it is to develop economies for the countries along the route by promoting industrial development, investment, consumption and connectivity.

With regards to connecting western China and Pakistan, we should see greater connectivity and trading volume moving via land route due to growing economic activities over medium term. I don't think it will happen over night as Pakistan economy is not yet reached the take off stage, which should happen after the completion of all major infrastructure project and foreign investment starts to pour in. This is clearly the direction that we are working towards but it will become more visible in the next decade or so. I don't expect the critics from Indian and western media and intellectual to be able to understand it or have the patience to do so as BRI\CPEC is too beyond their comprehension in term of ots scale and multi-decade time span.

 

[nahtanbob]

I'd like to say that the common interpretation that transport infrastructure built under the banner of BRI\CEPC is only to move goods and raw material in and out of China is oversimplified due to lack of comprehension of such a grand strategic initiative. Most of the infrastructure built in the host countries is to support the domestic economic growth as opposed to serve as a transit facility that only benefit China. The objective of BRI is a lot more than the notion of silk road that is just a trade route, it is to develop economies for the countries along the route by promoting industrial development, investment, consumption and connectivity.

With regards to connecting western China and Pakistan, we should see greater connectivity and trading volume moving via land route due to growing economic activities over medium term. I don't think it will happen over night as Pakistan economy is not yet reached the take off stage, which should happen after the completion of all major infrastructure project and foreign investment starts to pour in. This is clearly the direction that we are working towards but it will become more visible in the next decade or so. I don't expect the critics from Indian and western media and intellectual to be able to understand it or have the patience to do so as BRI\CPEC is too beyond their comprehension in term of ots scale and multi-decade time span.

You called the project OBOR or BRI (these are names from Chinese government) with the word "road" in it. hence the emphasis on transport.

if foreign investment never came to Pakistan before the infrastructure it probably is not coming after the infrastructure

 

[GeraltofRivia]

You called the project OBOR or BRI (these are names from Chinese government) with the word "road" in it. hence the emphasis on transport.

if foreign investment never came to Pakistan before the infrastructure it probably is not coming after the infrastructure

As described in the white paper "Vision and actions on jointly building belt and road" published by the Chinese government, there are 5 key elements underpinning the initiative:
* Policy coordination
* Facilities connectivity
* Unimpeded trade
* Financial integration
* People to People bond

Connectivity is one of the five elements in the program, which you may not notice the other four. The full paper can be seen here

Full Text: Vision and actions on jointly building Belt and Road (4) - Belt and Road Forum for International Cooperation

VISION AND ACTIONS ON JOINTLY BUILDING SILK ROAD ECONOMIC BELT AND 21ST-CENTURY MARITIME SILK ROAD

www.beltandroadforum.org